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Collected $3,150 rent for the period October 1 to December 31, which was credited to Unearned Revenue on October 1. b. Paid $1,800 for a two-year insurance premium on October 1 and debited Prepaid Insurance for that amount. c. Used a machine purchased on October 1 for $51,000. The company estimates annual depreciation of $5,100.

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Step-by-step explanation:

To record the transactions mentioned:

a. Rent collected for the period October 1 to December 31:

On October 1:

Debit: Cash $3,150

Credit: Unearned Revenue $3,150

b. Payment for a two-year insurance premium:

On October 1:

Debit: Prepaid Insurance $1,800

Credit: Cash $1,800

c. Depreciation of the machine purchased on October 1:

Depreciation expense is typically recorded at the end of an accounting period. However, since the annual depreciation amount is given, we can record the depreciation for the three-month period from October 1 to December 31.

On December 31 (or at the end of the period):

Debit: Depreciation Expense $1,275 (($5,100 / 12) * 3 months)

Credit: Accumulated Depreciation $1,275

The accumulated depreciation account is used to track the total depreciation expense for an asset over its useful life.

It's important to note that these entries assume a simplified accounting treatment and do not account for any tax or reporting requirements. It is recommended to consult with an accountant or financial professional for accurate and complete accounting record-keeping.

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